KRA Turns to Blockchain to Tackle Mombasa’s Customs Bottlenecks as New Cargo Rule Takes Effect

Blockchain & Crypto

By Mike Agoya

Published: 2026-08-04T12:38:32 · Updated: 2026-08-04T10:38:32Z

KRA Turns to Blockchain to Tackle Mombasa’s Customs Bottlenecks as New Cargo Rule Takes Effect

The Kenya Revenue Authority is adopting a blockchain platform called the Trade Logistics Information Pipeline, or TLIP, to overhaul cargo clearance at Mombasa and key border posts. The plan is to replace the paper trail that follows a container through customs with one shared record every authorised party can see.

The rollout also coincides with another change for importers. Starting Monday, 3 August 2026, every containerised shipment bound for a Kenyan port needs an Advance Cargo Declaration (ACD) reference code before it can leave origin ports.

The problem TLIP is built to fix

A container arriving at Mombasa today passes through shipping lines, clearing agents, KRA customs officers, the Kenya Ports Authority, and port health inspectors. Most of these bodies run their own digital portals. Because those portals do not talk to each other, traders file duplicate documents across multiple channels while agencies re-verify data already cleared upstream. That disconnect regularly sparks disputes over whether cargo details were altered after submission.

TLIP puts that data on one shared record. A trader enters shipment details once, allowing every authorised party down the chain to read from the exact same entry. Each transaction is time-stamped, so once logged, it cannot be edited without leaving a visible trace.

Lilian Nyawanda, KRA’s Commissioner for Customs and Border Control, noted that the platform connects freight forwarders, clearing agents, logistics providers, and border authorities into one network. She stated the system cuts processing times while securing cross-border data exchanges.

The system's origin

TradeMark Africa developed the network alongside the IOTA Foundation, a German non-profit behind the IOTA distributed ledger, backed by USD 4 million in funding from the UK and Netherlands governments.

Initial testing targeted flower exports from Nairobi to the Netherlands, a route where a single shipment historically required signatures from three separate agencies across six documents. Pilot runs wrapped up in Kenya covering ten exporters across 76 consignments, while the UK government separately tested the setup within its own border strategy work. This week's announcement formally brings that existing infrastructure into Kenya's daily customs workflow.

The Monday cargo mandate

While TLIP aims at long-term integration, the immediate requirement for importers is the ACD code. KRA’s public notice from 14 July 2026 requires exporters to log onto acd.kra.go.ke prior to loading cargo at origin.

To obtain the 15-character alphanumeric reference, shippers upload four documents:

That code must appear on the final bill of lading before the ship departs. Customs validates the declaration at least five days before the vessel arrives in Kenya, giving officers time to run risk assessments early. Cargo that shows up without a code faces penalties and clearance holds.

Shippers push back

The Shippers Council of Eastern Africa (SCEA) isn't convinced the ACD code solves anything. Chief Executive Agayo Ogambi told The Star on 31 July that the declaration asks for details traders already submit through KenTrade, cargo manifests, Import Declaration Forms, and KRA’s existing customs portals. SCEA also pointed out that draft bills of lading are rarely ready at the early stage KRA demands them, as carriers generally issue documentation only after receiving containers.

The complaint describes the exact problem TLIP is meant to solve: Kenya’s trade systems do not connect. If the ACD operates as one more standalone portal, it adds to the pile of separate filings. One caveat: KRA’s official ACD notice makes no mention of TLIP or blockchain, meaning the link between the two has been reported by local outlets rather than stated outright by tax authorities.

Revenue targets and wider context

KRA has clear incentives to push tech reforms at the coast. Its Customs and Border Control Department collected KES 988.78 billion in the financial year ending June 2026, beating its KES 980.79 billion target and growing 12.4% over the previous year. KRA and the Kenya Ports Authority also agreed this week to link their internal digital platforms following talks between KRA Commissioner General Adan Mohamed and KPA Managing Director Captain William Ruto.

The deployment marks Kenya’s second major public blockchain rollout in recent weeks. KNEC recently introduced blockchain verification hashes on high school certificates to stop document forgery. Both projects use the technology for the same practical reason: creating tamper-evident records so separate institutions can rely on the same document without manual double-checks.

For importers and clearing agents, the immediate checklist requires registering on acd.kra.go.ke and confirming reference codes appear on final bills of lading. Whether the system actually cuts trade friction depends entirely on how fast KRA connects TLIP to the legacy platforms traders already use.